Rio report rocks industry
Investors want Australian mining companies to ensure their workplaces are safe and inclusive after revelations of systemic sexual harassment, bullying and racism.
Rio Tinto last week released the findings of an investigation by former sex discrimination commissioner Elizabeth Broderick, which covered over 10,000 employees.
The survey found over half of the workforce had been bullied in the past five years. More than 30 per cent of women reported being sexually harassed, while 21 women experienced actual or attempted rape or sexual attack.
The report prompted a response from WA Premier Mark McGowan, who said the government had invested in additional WorkSafe inspectors and increased funding to the Department of Mines, Industry and Regulation.
Mr McGowan said companies must step up too.
“Working in the mining industry, particularly a long way from family and friends, is an isolating experience,” he said.
“It shouldn't be made worse by poor practises and poor behaviours.
“I'd urge every company to make sure they're on top of these sorts of things to make sure they don't occur again.”
Rio Tinto’s chief executive Jakob Stausholm vowed to implement all 26 of the report’s recommendations, and shareholders in the company have pledged to monitor the company’s progress.
Meanwhile, Debby Blakey, head of the $68 billion superannuation fund HESTA says other mining industry executives and board members should consider taking similar steps.
“HESTA will be writing to mining companies to understand how they are considering these issues and will seek to engage with senior management and boards on how they are overseeing company culture and ensuring high standards of workplace safety and employee wellbeing,” Ms Blakey said.
The Australian Council of Superannuation Investors (ACSI) has 39 members that own on average 10 per cent of every ASX-listed company. It says there are significant challenges to be addressed “both at a company level and across the sector as a whole”.
“While the findings of Elizabeth Broderick’s research are confronting, it is important that this report has been made public and that Rio’s CEO Jakob Stausholm has taken responsibility for the failings as well as giving a commitment to implement all the report’s recommendations,” ACSI chief executive Louise Davidson said.
“Investors will continue to monitor Rio Tinto’s progress in addressing the recommendations of the report.”
The Rio Tinto report addressed racism and bullying too, showing nearly 40 per cent of Rio Tinto’s Aboriginal and Torres Strait Islander employees experienced racism in the past five years.